Limits Have Always Been Dumb, Winston!

On the other hand, we can be certain most of that $23,000,000,000,000.00 is Bush’s fault. Must be. Somehow. So I suppose that’s okay, then.

I still haven’t figured out The Plan. We can run up unlimited debt without any consequences because, why, exactly?

We don’t have enough money to fund day-to-day operations so we take an operating loan. Fine, but doesn’t that loan eventually get repaid meaning someday you expect not only to have enough money to fund day-to-day operations, but also surplus money to pay down the principal? How many rich people do we have and can we possibly tax them enough to pay off that kind of debt? If now, what’s the plan for retiring the debt?

Alternatively, if the plan is not to repay it but to keep printing money, doesn’t that result in Weimar or Zimbabwe inflation and economic ruin?

I don’t understand it. Fine, I’m ignorant, explain it. But the politicians can’t explain it in a way that I can understand it. So either I’m ignorant AND stupid, or they’re bullshitting me and have no solution but won’t admit it. I concede the possibility of the former but I suspect the latter.

Joe Doakes

Como Park

I’m trying to figure out what the Dem’s campaign to make unlmited debt seem normal, even good – because that’s what they’ve done for every perversion of reality they’ve inveigled the American people into accepting – is going to look like.

7 thoughts on “Limits Have Always Been Dumb, Winston!”

We clearly have too much federal debt. The average interest rate for U.S. government debt over time is about 5%. If we hit 4%, which is well below average, we are completely screwed.

Since 1971 combined public and private debt has increased at a rate faster than GDP. Far, far, too much of that figure has gone into housing, which isn’t productive and is only a so-so investment, and consumption: Medicare, Social Security (remember they spent it in the 80s), cars (arguably this is a productive asset), consumption of consumer goods, wars, and largely stupid non-public goods created by the government.

Now we will pay.

If the economy heals that will force interest rates up because of borrowing. If it doesn’t heal, they will go up because there aren’t enough tax receipts.

We are going to get a Ron Paul world the hard way.

Romney / Ryan might have been able to navigate the situation. Obama will be a disaster.

It’s the curse of the second order solution. We can’t negotiate a modest budget cut, so we’ll fight over something related the resolution of which we might be able to accomplish. It’s like 535 gas station attendants who don’t feel like lifting the nozzle spinning a pinwheel and cogitating about green energy.